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FDIC Dividends from Failed Banks
|What is a Dividend:
When a financial institution is closed and the Federal Deposit Insurance Corporation ("FDIC") is appointed as receiver, one of FDIC's responsibilities is to sell the institution's assets to pay the depositors and its creditors. If there is any excess cash generated by the disposition of these assets less disposition cost and reserves met (cash it must hold to meet the obligations of the receivership), then a dividend may be declared and distributed to the proven claimants.
Priority of Dividends:
Prior to August 10, 1993 the law in effect at the time the institution failed determined the priority in which the proven claimants received dividends. All receiverships established after August 10, 1993, must distribute dividends according to the Federal Deposit Insurance Act, 12 U.S.C. § 1821(d)(11)(A), which mandates the following priorities:
Types of Dividends:
How often are dividends paid:
The FDIC conducts quarterly reviews of the financial statements of the receivership to determine if sufficient funds are available to pay dividends, and as additional funds become available, dividends may be declared. Disbursements for dividends less than $25.00 are held until the aggregate total dividend exceeds $25.00.
Please notify the FDIC of any address changes by writing to:
Questions or Additional Information:
For any questions or information pertaining to dividends paid or this web page please email your questions or comments to: firstname.lastname@example.org.
Current Dividend Payments: